Pauline Corporation acquired 100% of Rebecca Company's common stock on January 1, 20XX when the book value of Rebecca Company's net assets was $300,000 for $300,000 of cash. Pauline Corporation uses the equity method to account for these types of investments. The balance sheets, income statements, and other trial balance information for both corporations are provided on an Excel spreadsheet (linked in Module folder).

1. Prepare the journal entry required on the books of Pauline Corporation when it acquired Rebecca Company on January 1, 20XX.
2. Also, prepare any normal or required equity-method entry(ies) related to the investment in Rebecca Company during 20XX.
3. Prepare a consolidation worksheet for 20XX in good form.